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Is Filecoin (FIL) halal?

Permitted

The six conditions are met for a spot purchase.

Verdict calculated by Halal Bourse's published rules from an investigation of primary sources (project documentation, registers, decisions), conducted on 10/07/2026 and not reviewed by a human.

Open the evidence file

The asset

Native currency of the Filecoin network (layer-1 decentralized data storage with the FVM virtual machine); native, no contract to scan; the BNB Chain BEP-20 contract listed by CoinMarketCap is a “Binance-Peg” version Issuer: Protocol Labs, Inc., a Delaware company registered on May 9, 2014, developer and launcher of the protocol (chief executive Juan Batiz-Benet, chief financial officer Chris Brocoum according to the MiCA white paper by Crypto Risk Metrics GmbH); the Filecoin Foundation (Delaware), which receives 5% of the maximum supply under the distribution published by Protocol Labs; 2017 token sales through SAFT agreements (accredited investors).

FIL pays for data storage and retrieval (the client pays storage providers in advance), transaction and contract execution fees (gas in FIL), and serves as collateral that storage providers lock up and can lose if they fail. Maximum supply of 2 billion, of which 70% is reserved for providers' block rewards (330 million in simple minting with a six-year half-life, 770 million in minting tied to network capacity, 300 million in reserve), the rest going to Protocol Labs, the foundation and investors, with staggered releases. According to CoinMarketCap (October 7, 2026, 11:02 UTC): rank 70, total supply 1.957 billion (part is burned through fees and penalties), 834 million in circulation.

Why this verdict

  1. Permissible purpose : met. FIL is the currency that runs the Filecoin network: clients pay storage providers in FIL, providers receive block rewards in FIL, contract gas is paid in FIL and providers lock FIL as collateral. Real and permissible use described by the official documentation; no gambling, interest-bearing lending or impermissible content is found.
  2. No riba : met. Holding FIL pays no return drawn from a loan: block rewards go to storage providers who prove their capacity, after locking collateral they can lose; a plain holder receives nothing. The protocol requires no loan. Products lending FIL to storage providers exist in the ecosystem (see gaps): products separate from the token.
  3. No gambling : met. A spot purchase is of a network's native currency, with a fixed maximum supply, transferable; it is not a contract on a price difference. In the SEC's 2023 complaints against Coinbase and Binance, FIL was among the assets alleged to be securities, and the SEC told Grayscale in May 2023 that it considered FIL a security; both actions were closed in 2025 (see c6). FIL is not in the list of examples of “digital commodities” in the March 17, 2026 SEC-CFTC interpretation, which is a non-exhaustive list.
  4. No excessive gharar : met. The issuance rules are published: maximum of 2 billion, 330 million in simple minting with a six-year half-life, up to 770 million tied to network capacity, 300 million in reserve; the shares of Protocol Labs and the foundation are released over six years (last release scheduled around October 2026) and those of investors over three years. The entities are identified (a company with named executives, a foundation with directors named in the MiCA register). No anonymous party was found controlling issuance, the treasury or administration keys; the 300 million FIL reserve is to be allocated by community decision, with no schedule.
  5. Real ownership : met. FIL is held in a personal wallet (network addresses, or Ethereum-type addresses through the virtual machine) and transfers without technical restriction. The choice of purchase platform was not studied.
  6. No fraud or manipulation : met. No ruling establishes deception toward FIL buyers. The SEC named FIL among alleged securities in its 2023 complaints against Coinbase and Binance (Protocol Labs and the foundation were not defendants), then ended those actions in 2025 without assessing the merits; its staff had written to Grayscale in May 2023 that FIL is a security, a position contested by Protocol Labs. The AMF blacklist returns no result for “filecoin”. Dropped accusations and launch accusations (October 2020, team tokens): information only (A.8).
  7. Réseau ouvert et généraliste : met. un outil neutre

Tolerance case

T1. FIL is the native currency of a network where anyone can be a storage client or provider, whose gas and payments are settled in FIL and which hosts contracts (FVM): T1 is retained, with one limit: the network is first of all a storage network (a neutral tool, but a specialized one) and Protocol Labs kept a share of supply and a central developer role until 2026. FIL gives no right to any revenue of Protocol Labs or the foundation; no share of impermissible income is published (T2 cannot be quantified, not retained). The choice of T1 is left to Halal Bourse.

Contract security scan

FIL is native to the Filecoin network, with no contract: rule A.8 rules out scanning native currencies. The only scannable contract CoinMarketCap gives is the “Binance-Peg Filecoin” version on BNB Chain (0x0d8c…e153), a wrapped token pegged by Binance 1:1. GoPlus scan: 127,064 holders; top ten wallets excluding exchanges and contracts 26.9%; code published; no honeypot or tax signal; a single signal: contract modifiable through a proxy (is_proxy). Reading under A.8: a copy issued by an identified platform (Binance), whose contract carries the proxy and an owner (direct reading of the chain on October 7, 2026: owner 0xF68a…f62d, proxy administrator 0xD2F9…d6C4, not labeled by any source read); the proxy is an issuer power, not a rug pull signal; a single signal, the proxy, which is an issuer power: no rug pull signal within the meaning of A.8, and native FIL is not concerned. This copy weighs about 15 million units (chain reading), less than 1% of total supply.

Opinions found during the research

Opinions reported as read, named for what they are; they do not enter into the calculation of the verdict.

What could not be verified

Sources read

Other cryptos analyzed

General information: neither investment advice nor a fatwa. Verdict calculated by published rules, from financial statements read automatically and not reviewed by a human. Read the methodology